NTPC Ltd. plans to raise funds worth Rs 18,000 crore through non-convertible debentures as per an exchange filing.
A board meeting is scheduled to be held on Saturday to discuss issuing secured/unsecured, redeemable, taxable/tax-free NCDs, subject to shareholder approval.
Initially, NTPC will issue NCDs worth Rs 4,000 crore through private placement at a coupon rate of 6.89% per annum for a tenor of 10 years and one day, maturing on June 18, 2035.
Before the announcement, NTPC's shares closed 0.53% higher at Rs 333.7 on the National Stock Exchange.
Analysts tracking the company have mostly given a 'buy' rating on the stock, with an average 12-month price target suggesting a potential upside of 26.4%.
NTPC's stock performance shows a 9.73% decline in the last 12 months and a 0.1% increase year-to-date.
The board resolution for issuing the NCDs dates back to June 29, 2024, with subsequent approval by shareholders obtained on Aug. 29, 2024.